When investment funds focus on compound interest effects, they need to wait for the Market

Investment funds are especially stock-oriented and Partial stock-based funds. In general, the income changes in the same direction and closeness with the rise and fall of the Market Point within a certain period of time; however, according to the long-term compound interest effect of fund investment, the relationship with the market position is not very close, and sometimes there will be a situation opposite to the market direction, that is, when the dashboard falls, it rises. Therefore, for long-term investors who want to learn about the fund making mechanism, "focusing on the compound interest effect and waiting for the market position" is a rational and wise choice. This is due:

I. The compound interest effect of investment funds is determined by the internal characteristics of the Fund.
For stock-invested and partial-stock funds, different types of internal assets are configured, shares share ratios are different, and individual stocks have different characteristics: funds of different types such as growth stock type, Value Stock type, balanced stock type, income Partial stock type, Mixed Partial stock type, and balanced partial stock type. In the symmetry of different benefits and risks, although there are dozens to more than a hundred different numbers, different industries, different disks, different sectors, different themes of different stocks and their positions, they all show the same, similar, or different net worth growth in the market, but the root cause is: in the design of its fund system, the maximum stock investment is 95%, and the minimum is only 20%. This is very broad that can be adjusted and changed, which is conducive to keeping up with or responding to market changes, it is also easy to repeatedly put the previous wave of dividends earned in the market into the next wave of market games, and then make money with the money earned, in this way, the "rolling" "profit-making" mystery of fund investment "compound interest effect" is displayed. Then, with the accumulation of time, the "compound interest effect" is superimposed and progressive, then, the "Upgrade" has become the "time dividend" that people often say. Of course, all these funds with such internal characteristics are actively combined with the "surging" market to achieve the results.
Therefore, it is precisely with the unique characteristics of the Fund that, on the one hand, because only 95% of all its assets are involved in the operation of the market and the maximum proportion of each invested individual stock limit and the risk of combining all the selected individual stocks is scattered, it is often because the net value of the fund increases when the market increases, and the net value of the Fund falls less when the market falls. On the other hand, the Fund dividend produces compound interest, it can not only offset the decline in the market value of the Fund when the stock market falls, but also accelerate the increase in the market value when the stock market is called back. Therefore, when investment funds focus on their compound interest effect, they need to stay close to the position of the market and stay with the market manager so as to enjoy the "super" Reward brought by their compound interest effect.

2. The compound interest effect of investment funds is created by the active operation of fund managers
In terms of system design, stock-based and partial-stock funds cover three different levels: asset composition, stock proportion, stock combination, and quantity, all of these give the fund manager an active operation space that can be attacked or retired. The fund manager shall meet the requirements of the Fund's investment philosophy, objectives, strategies, style and Performance Comparison benchmarks at or after the establishment of the Fund, based on the screening and in-depth investigation and research of listed and circulating stocks and listed companies, the stock pool is constantly updated, and then the market forecast and grasp are followed in a timely manner: in the normal operation of the market and the rotation of hot sectors, the stock that has been invested and earned "Capital Gains" has been sold relatively overestimated, the investors can get the money they actually earned, and then buy the money, including the profits, into the stocks in the "stock pool" that are relatively undervalued by the market or with additional shares that are newly listed; before the adjustment and volatility of the market comes, we take the initiative to adjust and reduce the stock ownership positions, and also cleverly leave the money earned by investing in stocks, by investing in tools and products that can temporarily circumvent the risk of market adjustment fluctuations, the compound interest effect of dividends can be realized, after the market adjustment and volatility ends, the Fund's entire asset allocation will be made again to win more benefits. For investors, to make full use of the compound interest effect of investment funds, it must go through multiple active operation cycles in which the fund manager is able to save the dividends and make full use of the compound interest effect of the dividends. If the time is short, it cannot be done. If the market has entered a period of adjustment, the fund investors will be able to redeem and hedge against the risks if they are in a weak position and "stand alone, obviously, it is in the "Step" of the fund manager's "dust", and the meaningless "self-sacrifice" that is detrimental to dividends and compound profits ".
Therefore, we can see from the above that a fund manager is playing a game with the market of "know yourself and know yourself" on the front line with the wisdom of financial management by a very professional expert team. Generally, we have long been dealing with and taking care of investors. What kind of dashboard is "a little high or a low" is nothing to say.

III. The compound interest effect of investment funds is rooted in the fluctuating rise of the stock market
The operation of the stock market is always in progress, both in the bear market and in the bull market, it boosts the rise and fall of the market wave after wave, and is a general trend of the wave-like spiral rise. It is the wave-like upward trend that continues to nurture the compound interest effect of fund investment in the wave after wave of market conditions: the rotation of the hot spot sector leads to an overestimation or underestimation of the stock investment value in the market. The old stock issuance expands the market capacity, increases the supply, and new shares are listed. In addition, the dilution of market risks adds a new force., in the release of market risks, profitable companies are brewing healthy and never-ending technological restoration. They are adjusting and controlling the market steps, and exploring and callback the power and power of both sides. smart game ...... This "cannot touch", but can see and feel the scenes in the stock market "Magnificent" "scenario". fund managers who have thoroughly studied the market are actively responding to this situation, or "increase the position when the shot is made", or keep the position "not moving" ready to go, or "collect troops and return to camp" to reduce the position "nap" in "driver ", or "construction work", warehouse adjustment and warehouse replacement, so as to re-invest the dividends without dividends and investors, into the wave of the waves before the waves, the waves of the rising market tide, get a wave of compound interest.
It is also not difficult to see that the compound interest acquisition of investment funds, the "Every wave", is naturally achieved by the market uplink, but in the whole continuous market game, in contrast, fund managers and fund managers can perfectly combine fund assets with market conditions, when the dashboard is high or low, it becomes less important.
The above organic integration of "three in one" of "funds, fund managers, and stock markets" is only a mechanism for compound interest from the constant operation and changes of the capital market, however, if you want to get a real return from "this mechanism", there are two "homework" that investors must pay: first, you need to invest in the selected fund, especially the Fund with stock assets. Second, you need to stick to it for a long time. Otherwise, you will lose the money you have done before.